Power of sales means that the mortgager has gained the right to sell the property, it usually happens because of the non-payments of the mortgage. This does not give the possession of the property to the mortgage holder it just allowed him/her to sale the property because he/she is unable to pay the mortgage.
Some people think that Foreclosure and Power of sale is a same thing, and yes for the customers who are buying a property it means basically the same thing to them. The reason that the mortgage holder is selling the property can either that he is unable to make the payments or he committed any other breach in the contract.
There is a common fallacy about power of sale homes that they you can buy them for the outstanding payments only. The outstanding amount has nothing to do with the value of the sales of the property. The property is listed for the sales purpose on appraised value. The new owner or mortgage holder will have to pay according to the value of the house, which is determined after the appraisal.
You Should Know…..
There are three basic things you should know if you are going to buy a power of sales property:
- There will be no warranties of any equipment installed in the house. The property will be sold on “as is” basis.
- The old mortgager has the right of redemption, which means that if the old mortgage holder pays of his/her penalties and arrears before the deal is closed with second mortgage holder, then the sales will be terminated.
- The negotiations takes longer time than usual sales, also there is a lot more paper work involved than normal deals. This process can take up to three business days every time a change is made to it.
How to Get Power for Sales Deals:
The listings for the power of sale houses for sale are available at the major and best real-estate agencies of the area. In Canada Remax has the listing of all the available power of sale houses. The real estate has contacts with the banks from where they get the knowledge of all the available houses either foreclosure homes for sale or power of sales homes for sale.
The banks share the listings only with the real estate that holds a good will in the market. Also there are a lot of complications involved in the process of buying a power of sale homes and here if you hire a realtor they will help you go through with all the complications involved like legal matters, inspection of the house and appraisal of the house. There is a lot of complex paper work involved in this dealing, a professional and good realtor is aware of how to take care of paper work, so you can save yourself from all the hassle of the paper work.
Remax has been dealing in all different sales of property for forty years; they also deal in foreclosure homes and power of sale house for sale in Brampton, Toronto, Mississauga, and all over Canada. So if you want to buy any property come to the biggest real estate centre in the world, REMAX.
World’s biggest real-estate centre deals in all types of sales of property including foreclosure homes and power of sales houses for sale in Brampton, Toronto, Mississauga, and all over Canada.